teleo-codex/decisions/internet-finance/metadao-fundraise-2.md

type	entity_type	name	domain	status	parent_entity	platform	proposer	proposal_url	proposal_date	resolution_date	category	summary	key_metrics	tags	tracked_by	created	last_updated
decision	decision_market	MetaDAO: Approve Fundraise #2	internet-finance	passed	metadao	metadao	Proph3t	https://v1.metadao.fi/metadao/trade/9BMRY1HBe61MJoKEd9AAW5iNQyws2vGK6vuL49oR3AzX	2024-06-26	2024-06-30	fundraise	Proposal 3 (Autocrat v0.3) — Raise $1.5M by selling up to 4,000 META to VCs and angels. No discount, no lockup. Minimum price $375 ($7.81M FDV floor). Proph3t and Nallok execute sale with discretion on terms.	proposal_number proposal_account autocrat_version raise_target max_meta_sold min_price implied_min_fdv burn_rate 3 9BMRY1HBe61MJoKEd9AAW5iNQyws2vGK6vuL49oR3AzX 0.3 $1,500,000 4,000 META $375/META $7,810,000 $1,380,000/year	metadao fundraise vc angels capital-formation passed	rio	2026-03-11	2026-03-24

MetaDAO: Approve Fundraise #2

Summary & Connections

Proposal 3 (Autocrat v0.3) — MetaDAO's second capital raise. Sell up to 4,000 META to VCs and angels for $1.5M. No discount, no lockup. Minimum price $375/META ($7.81M FDV floor). Proph3t and Nallok execute with discretion on allocation, terms, and whether to raise more than $1.5M. Funds custodied in multisig, released at $100K/month.

Outcome: Passed (2024-06-30).

Connections:

• Context: MetaDAO had just launched FaaS with Drift, Dean's List, and FutureDAO three weeks prior. The raise was to fund a team to scale this: 3 engineers ($190K each), audits ($300K), growth ($150K), office ($80K) + founders ($90K each) = $1.38M/year burn
• "No discount and no lockup" — the exact opposite of the VC discount that the market would later reject (metadao-vc-discount-rejection). The founders chose to sell at market price to all participants. This set the precedent for MetaDAO's "no sweetheart VC deals" ethos.
• $100K/month release to DAO treasury from multisig — the same drip mechanism later formalized as the monthly allowance in STAMP agreements for futardio launches
• The $375 minimum price floor ($7.81M FDV) is conservative given the Colosseum deal valued META at $468 three months earlier. The floor protects against selling too cheap in a downturn.
• "Everyone who participates in the raise will get similar terms" — equal access, no tiered pricing. This is the philosophical foundation of the "unruggable ICO" model.

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Full Proposal Text

Overview

Three weeks ago, MetaDAO launched the futarchy protocol with Drift, Dean's List, and Future. Our goal is to onboard more Solana DAOs. To do that, Nallok and I have a few ideas for growth initiatives, including:

• Social: seeing who's trading in the markets
• NFTs: allowing NFT communities to leverage decision markets
• Special contracts: creating custom financial contracts that make it easier to make grants decisions through decision markets

To accelerate this, our goal is to hire a small team. Between us ($90k/yr each), three engineers ($190k/yr each), audits ($300k), office space ($80k/yr), a growth person ($150k/yr), and other administrative expenses ($100k/yr), we're looking at a $1.38M burn rate.

To fund this, I'm proposing that the DAO raise $1.5M by selling META to a combination of venture capitalists and angels. Specifically, we would sell up to 4,000 META with no discount and no lockup.

Nallok and I would execute this sale on behalf of the DAO. To minimize the risk of a DAO attack, the money raised would be custodied by us in a multisig and released to the DAO treasury at a rate of $100k / month.

The exact terms of the sale would be left to our discretion. This includes details such as who is given allocation, whether to raise more than $1.5M, how escrow is managed, et cetera. However, we would be bound to a minimum price: $375. Given that there'd be 20,823.5 META in the hands of the public (which includes VCs + angels) after this raise, this means we would be unable to sell tokens at less than a $7.81M valuation. Everyone who participates in the raise will get similar terms. We will make public who's participated after it's complete.

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Raw Data

• Proposal account: 9BMRY1HBe61MJoKEd9AAW5iNQyws2vGK6vuL49oR3AzX
• Proposal number: 3
• DAO account: CNMZgxYsQpygk8CLN9Su1igwXX2kHtcawaNAGuBPv3G9
• Proposer: HfFi634cyurmVVDr9frwu4MjGLJzz9XbAJz981HdVaNz
• Autocrat version: 0.3
• Completed: 2024-06-30

Relationship to KB

• metadao — parent entity, second capital raise
• MetaDAO is the futarchy launchpad on Solana where projects raise capital through unruggable ICOs governed by conditional markets creating the first platform for ownership coins at scale — the "no discount, no lockup, similar terms" ethos starts here
• metadao-vc-discount-rejection — later rejection of a 30% VC discount, consistent with this proposal's equal-access philosophy
• internet capital markets compress fundraising from months to days because permissionless raises eliminate gatekeepers while futarchy replaces due diligence bottlenecks with real-time market pricing — early evidence of futarchy-governed capital formation